Lawn Care Business Forum Lawn Care Business Book Lawn Care Business Blog Lawn Care Software
Home Forum Contract & Flyer Templates Blog Software Videos Podcast Calculators / Estimators Store Mower Review Design It Yourself Lawn Business School

Go Back   GopherHaul Landscaping & Lawn Care Business Marketing Forum > Business > General Business Discussions

General Business Discussions A place to talk about general business discussions.

Tax write off for house


General Business Discussions

A place to talk about general business discussions.
Reply
 
Thread Tools Search this Thread
  #1  
Old 05-19-2012, 09:45 PM
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 74
Posts: 4,475
Rep Power: 0
CHEESE2009 is on a distinguished road
Default Tax write off for house

Alright, so I'm looking at moving into a new home, but I never considered any space as an office to write off for taxes. Anyone want to explain how it's covered?

Does it go by square footage? Just wanna ball park it.

I'd be paying $1,500 monthly for this house, the office would take up the entire basement living room which I still have to measure out.

How about parking/garage/shed, can that be a business write off too?
Reply With Quote

Stop guess-timating. Learn how to estimate and make money! $$$
Mow Time Estimator Lawn Care Price Estimator Mulch and Topsoil Calculator Snow Plow Estimate Calculator


  #2  
Old 05-19-2012, 11:40 PM
Hedgemaster Hedgemaster is offline
new member
 
Join Date: Jul 2010
Location: Pittsburgh, PA
Posts: 2,772
Rep Power: 0
Hedgemaster is on a distinguished road
Default

Lawn care business tipsLawn Care Business Book
I don't know how it works up there, but here it's square footage of the office space.
Said space is technically only allowed to have business related items in it. If it's your office, you can't have a storage area/shelves for non business stuff in it. If you want to get really technical, you aren't allowed to surf the net from that room unless it's business related surfing.

I do deduct half of my garage space as well.
I'm not sure if an outbuilding qualifies.

You can deduct a portion of your utilities as well.
Reply With Quote
  #3  
Old 05-20-2012, 12:36 AM
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 74
Posts: 4,475
Rep Power: 0
CHEESE2009 is on a distinguished road
Default

Quote:
Originally Posted by Hedgemaster View Post
Said space is technically only allowed to have business related items in it. If it's your office, you can't have a storage area/shelves for non business stuff in it. If you want to get really technical, you aren't allowed to surf the net from that room unless it's business related surfing.
Would anyone make surprise visits to check up on this? If I (for example) have a bag of personal potato chips in my office space, how screwed would I be? lol
Reply With Quote
  #4  
Old 05-20-2012, 05:16 AM
stevef1201 stevef1201 is offline
Senior Member
 
Join Date: Apr 2010
Location: Central Florida
Posts: 1,236
Rep Power: 6
stevef1201 is on a distinguished road
Default

First let me say that you need a qualified accountant to answer this question. I deudct by percentage my office space, garage (exclusivly for mower and equipment storage and repair) electric, water, taxes,etc. This was all set up by my accountant, who as I said earlier you need.

Be very carefull about this.

A very good friend of mine did not do this correctly, and got auditited by the IRS several years ago. He told his wife that he would be going to jail because he cheated on the taxes. To make a long story short, after 8 hours of audit, the IRS auditor told him that home based business is the area of the greatest mistakes made by people. He disallowed several thousand dollars of 'write off' but then did the most unexpected thing. He told Dick that he was getting an addtional 1000 dollars back becasue now his tax write off were correct. He then told Dick TO GET AN ACOUTANT and this would not happen again.
Reply With Quote
  #5  
Old 05-20-2012, 11:16 AM
CHEESE2009 CHEESE2009 is offline
Dr. Scott - Ruler of the Underworld
 
Join Date: Mar 2009
Location: Switzerland, Grindelwald
Age: 74
Posts: 4,475
Rep Power: 0
CHEESE2009 is on a distinguished road
Default

I have an accountant, I'll be sure to ask him about all this.
Reply With Quote
  #6  
Old 07-11-2012, 09:06 PM
LawnTeam's Avatar
LawnTeam LawnTeam is offline
Junior Member
 
Join Date: Jun 2012
Location: Virginia
Posts: 24
Rep Power: 3
LawnTeam is on a distinguished road
Default Business use of home

I do have an accounting degree. Make sure to discuss what happens when you sell a house that has been used partially for business, with your tax accountant. Also, have a talk with your insurance agent. Homeowners policies generally do not cover business items such as computers and such when they are in the home. Your agent can help you get the right coverage for the space. We learned this the painfull way after a hurricane hit our home and my business space was ruined. Who'da'thunk? I lost my shirt.
Reply With Quote
  #7  
Old 07-12-2012, 02:25 PM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,223
Rep Power: 10
Steve has disabled reputation
Default

Scott,

Another thing to consider is if you use any of those tax software packages, especially the ones that are for small business, they ask you questions about this and walk you right through the process.

Quote:
We learned this the painfull way after a hurricane hit our home and my business space was ruined.
Can you give a little more insight as to how all this played out? I bet a lot of members are wondering how such storms could effect their business without the proper insurance.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
  #8  
Old 07-12-2012, 09:51 PM
LawnTeam's Avatar
LawnTeam LawnTeam is offline
Junior Member
 
Join Date: Jun 2012
Location: Virginia
Posts: 24
Rep Power: 3
LawnTeam is on a distinguished road
Default business items not covered by homeowners' coverage

Quote:
Originally Posted by Steve View Post

Can you give a little more insight as to how all this played out? I bet a lot of members are wondering how such storms could effect their business without the proper insurance.
We had a huge storm come through. The remnants of Hurricane Ida converged with a Nor'Eastr and slammed into us (Nov 2009). A room on the side of our home was used for business only. Displays, seating, supplies, etc. were destroyed by water damage and broken glass. It was a mess. When the insurance agent came to check out the damage, we were shocked to find that the entire contents of the room were uncovered**they were legally business property and excluded from coverage. The damage to our property was so significant that I was essentially out of business temporarily. A neighbor's tree also fell and destroyed our newly completed workshop, a large shed, and the swimming pool was destroyed during clean-up as well. We were unprepared.

As a result, we had to depend on the kindness of others to recover. We were unable to aquire more coverage after the disaster and were left totally uncovered when Hurricane Irene hit in Aug 2011.

We have learned that an oversight and misunderstanding can really cost. The legacy of that disaster is still following me. Make sure your agent is adept at working with businesses and fully understands what equipment you have, who uses it, and where it is stored.

It may sound foolish, but now I try to ask lots of questions, even if I think I understand. I get everything in writing and do tons of research as if it is for one of the stories I cover. I would rather think me a bit dense than end up paying out huge amounts when I could be covered.

Hopefully it won't happen to someone else.
Reply With Quote
  #9  
Old 07-12-2012, 11:07 PM
Apex Lawn & Landscape Apex Lawn & Landscape is offline
new member
 
Join Date: Oct 2011
Location: Pittsburgh suburbs
Posts: 384
Rep Power: 0
Apex Lawn & Landscape is on a distinguished road
Default

Hey Cheddar ! This is off the topic and I apologize... But no more of this depending on the weather to put food on the table. You say your customers pay wether you come or not, how did you go about explaining this to them? Can you give me some advice as to how I should go about doing this? Thanks broham..
Reply With Quote
  #10  
Old 07-13-2012, 11:59 AM
Steve's Avatar
Steve Steve is offline
Administrator
 
Join Date: May 2003
Posts: 37,223
Rep Power: 10
Steve has disabled reputation
Default

Quote:
The damage to our property was so significant that I was essentially out of business temporarily
What a story. I hope others are able to learn from this and keep insurance in mind when they are operating, even partially, a business out of their home.
__________________
- Subscribe to my Lawn Care Marketing Blog Feed and get daily tips sent to you. Free!
Download your Free trial of Gopher Lawn Care Software.
Reply With Quote
Reply

Bookmarks

Tags
home business, tax write off

Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
I Will Write Your Next 3 Ads aduttonater Promote your products or services 0 06-06-2011 10:12 AM
Business article write up Steve Lawn Care Marketing & Post your marketing material for review! 2 04-18-2007 11:25 AM
Write-offs Gopher Software Support Archived Question & Answers - Read Only 4 01-04-2007 08:26 PM
Business Software tax write off article Steve General Business Discussions 0 07-09-2004 10:06 AM
House / Fire House Makeover Steve General Business Discussions 4 06-22-2004 05:57 PM

» Recent Threads
  RatingTitle, Username, & Date Last Post Replies Views
Poll & Discussion...
CHEESE2009
09-16-2011 06:16 PM
Today 03:05 PM
by holymoly
23 5,390
lawn care business...
holymoly
Today 02:56 PM
Today 02:56 PM
by holymoly
0 1
color fliers?
holymoly
Today 02:32 PM
Today 02:32 PM
by holymoly
0 8
Hustler Raptor
SGL1
04-13-2015 09:27 PM
Today 07:53 AM
by SGL1
15 332
is craiglist good to...
JBENI
04-16-2015 11:11 AM
Yesterday 10:25 PM
by Wolf4dk
11 209
Pictures of commercial...
avetslawncare
04-01-2015 09:47 PM
Yesterday 09:35 PM
by avetslawncare
20 724
Could be great news for...
SC93
04-14-2015 11:06 PM
Yesterday 08:58 PM
by SC93
10 275
These are the days on...
ExtremeLawncareServices
01-11-2015 10:41 AM
Yesterday 08:40 PM
by ExtremeLawncareServices
53 4,927
Am I missing something...
googus
04-11-2015 06:33 PM
Yesterday 08:01 PM
by avetslawncare
10 361
weed
avetslawncare
04-16-2015 07:56 PM
Yesterday 07:59 PM
by avetslawncare
3 84
Aerating / Dethaching...
Hard-Body lawn & garden
04-12-2015 07:53 PM
Yesterday 07:27 PM
by biglee
14 381
Hello
sonny54
04-16-2015 09:49 PM
Yesterday 03:10 PM
by Steve
1 59
Unreal
Chilehead
04-09-2015 09:12 PM
Yesterday 08:27 AM
by Chilehead
11 413
starting a lawn care...
JBENI
04-14-2015 09:03 AM
Yesterday 08:03 AM
by JBENI
14 370
Finally got a warehouse
avetslawncare
03-12-2015 07:52 PM
04-16-2015 07:52 PM
by avetslawncare
23 1,189
bidding a cemetery....
NPM_LLC
03-28-2015 10:56 AM
04-16-2015 03:49 PM
by Steve
20 814
New 14 x 7 Enclosed...
whitepropertydetail
04-15-2015 06:46 PM
04-16-2015 03:40 PM
by Steve
1 106
quick pic
joshlawncare
04-14-2015 07:49 PM
04-16-2015 03:38 PM
by Steve
3 166
older used dump trucks
SECTLANDSCAPING
09-22-2011 12:33 AM
04-16-2015 12:41 PM
by biglee
21 7,891
Tax Poll
Steve
04-15-2015 02:13 PM
04-15-2015 02:13 PM
by Steve
0 116
lawn care by Aj
aj10261984
04-14-2015 06:50 PM
04-15-2015 01:43 PM
by Steve
2 137
Contact last years...
googus
01-28-2015 08:13 AM
04-15-2015 12:54 PM
by SC93
7 1,127
Start LIKING FACEBOOK...
rlclawncare123
02-26-2015 12:06 AM
04-15-2015 08:35 AM
by Bradcook21
7 814
trying to sign up for...
JBENI
04-14-2015 10:20 AM
04-14-2015 12:11 PM
by Steve
1 317
Charging customers for...
Hard-Body lawn & garden
04-14-2015 07:34 AM
04-14-2015 10:35 AM
by Steve
1 150
New member
Jdlandscaping,LLC
04-11-2015 03:24 PM
04-14-2015 05:45 AM
by Jdlandscaping,LLC
2 196
hello
oasis_greenscapes
04-01-2015 06:18 PM
04-13-2015 12:03 PM
by Steve
8 427
New Member
Greenturion
04-11-2015 02:00 PM
04-13-2015 11:59 AM
by Steve
1 161
Client with...
OldSalt
04-07-2015 09:47 PM
04-13-2015 11:57 AM
by Steve
8 370
Getting rid of "mulched...
Mr. Mow
04-12-2015 04:21 PM
04-13-2015 11:26 AM
by biglee
3 188
String trim BEFORE mow...
Mr. Mow
04-12-2015 08:13 AM
04-13-2015 11:11 AM
by biglee
7 297
Billing methods
jcurr33
03-26-2015 01:33 PM
04-13-2015 11:07 AM
by biglee
15 793
Landscape Fabric
CurbAppeal1
04-10-2015 03:58 PM
04-13-2015 08:02 AM
by Chilehead
4 250
I lost a long term...
Sprinkler Buddy
09-04-2011 02:24 PM
04-12-2015 04:27 PM
by Mr. Mow
17 3,864
I'm Back With The Best...
aduttonater
02-21-2015 12:41 AM
04-10-2015 12:05 PM
by Just for Cuts
45 2,081
Snow removal contracts
CDLAWNCARE
03-31-2015 02:57 PM
04-10-2015 11:37 AM
by kslawn
6 443
Do you have medical...
Steve
09-10-2011 11:46 AM
04-10-2015 11:28 AM
by Steve
17 5,166
Shopping Centers
avetslawncare
04-07-2015 07:16 PM
04-10-2015 11:27 AM
by Steve
7 355
Leaf Vac's?
ABurlison
11-07-2007 10:18 PM
04-10-2015 06:12 AM
by RSE
14 5,658
Grass and Leaf vacuum
captain200
04-07-2015 07:05 PM
04-10-2015 06:02 AM
by RSE
4 314
Covering a landscape...
Dan Tanner
03-29-2015 09:01 AM
04-10-2015 06:00 AM
by Dan Tanner
19 910
I have a great idea!
biglee
04-05-2015 06:20 PM
04-09-2015 12:54 PM
by Steve
4 361
lawn care school
kevinburch48
04-09-2015 09:13 AM
04-09-2015 11:27 AM
by Steve
1 217
What do you suggest?
Growing Green
09-20-2011 09:56 AM
04-08-2015 03:09 PM
by Steve
8 3,091
Survey
Ducke
09-20-2011 07:27 PM
04-07-2015 11:33 PM
by SGL1
12 3,414
DOT Number
acrajchel
03-20-2015 05:56 PM
04-07-2015 10:55 PM
by SGL1
14 1,216
Avoiding Clients
CHEESE2009
09-08-2011 10:58 PM
04-07-2015 06:05 PM
by GLAN
24 6,368
Mass/New Hampshire...
jcurr33
04-06-2015 09:48 PM
04-07-2015 04:19 PM
by jcurr33
2 262
Ferris FW35 questions
Chilehead
03-10-2015 08:31 PM
04-07-2015 05:19 AM
by Chilehead
9 782
Dethatching attachments
jcurr33
03-29-2015 08:56 PM
04-06-2015 09:21 PM
by ExtremeLawncareServices
6 500
» Popular Tags
aerocore apartment complex auger bark billy goat brushcutter blades bush collections deliquentaccounts design edging employee problems equipment rental ferris flyers foreman free advertising grass growing a lawn care business hills hiring husqvarna john deere quik trac landscape landscape services landscaping training lawn lawn care lawn care business seo lawn care business website lawn care business website seo lawn care seo lawn care website lawn care website seo lawn mowing marketing marketing secrets more customers business mr dave mulch new business past due per hour charge per hour service pricing profit on employee pto push versus ride running a business scripts secrets to landscaping sell the vision seo shell small engine repair square foot steep lawns sulky theft toro grand stand trailer tree trimmer rack truck new used landscape up sell employee web design website website design winterization won't return
Powered by vBadvanced CMPS v3.1.0

All times are GMT -5. The time now is 03:19 PM.


(C) 2011 Riggs Publications - Terms of use & Privacy Policy

All times are GMT -5. The time now is 03:19 PM.

(C) 2011 Riggs Publications - Terms of use & Privacy Policy